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In 2021, Oriole Company accrued, for financial statement reporting, estimated losses on disposal of unused plant facilities of $ 3510000. The facilities were sold in
In 2021, Oriole Company accrued, for financial statement reporting, estimated losses on disposal of unused plant facilities of $ 3510000. The facilities were sold in March 2022 and a $ 3510000 loss was recognized for tax purposes. Also in 2021, Oriole paid $ 139200 in premiums for a two-year life insurance policy in which the company was the beneficiary. Assuming that the enacted tax rate is 20% in both 2021 and 2022, and that Oriole paid $ 1080000 in income taxes in 2021, the amount reported as net deferred income taxes on Oriole's balance sheet at December 31, 2021, should be a $ 940800 asset. o $ 351000 liability. $ 702000 asset O $351000 asset
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